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CFA Level 1
Ethical and Professional Standards

Ethical Dilemma on Insider Trading

Medium Cfa Institute Code And Standards Professionalism - Misconduct

As a financial analyst working at a reputable investment firm, you are tasked with providing investment recommendations to clients. One day, you overhear a colleague discussing a pending merger that has not yet been made public. Realizing the potential impact of this information on the stock prices of the companies involved, you are faced with a dilemma. You are aware that trading on material nonpublic information is a violation of the CFA Institute's Code of Ethics and Standards of Professional Conduct.

What should you do in this situation?

Hint

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